AerCap to offer $2.6bn unsecured notes

Hong Kong
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Amsterdam-based AerCap is in the market with a $2.6 billion unsecured notes offering as the operating lessor plans to use the net proceeds to finance part of the consideration payable in connection with the acquisition of 100% of the common stock of ILFC.

The senior notes offering will consist of three tranches of varying tenor in a private placement, says the leasing company.

Earlier this year PwC indicated that AerCap planned to issue $2.75 billion in bridge notes.

On 16 December 2013, it agreed to acquire 100% of the common stock of ILFC, a wholly owned subsidiary of American International Group (AIG), in a $26 billion deal funded by UBS and Citibank.

As part of the transaction, AIG will provide AerCap with a committed five-year $1 billion unsecured revolving credit facility and will receive $3 billion in cash and 97,560,976 AerCap shares.

The transaction is expected to close next month.